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Hospitals cough it up for Medicaid programs Chattanooga Times Free Press

19.05.10

In both states, the plan will save hospitals from proposed across-the-board cuts that would have driven some hospitals out of business, supporters say.

"We came to a decision that if any place had to take big cuts and close services, all institutions, all programming would be affected. That's why everyone's really in this together," said Jim Brexler, president and CEO of Erlanger hospital and chairman of the Tennessee Hospital Association. The association developed the fee plan in Tennessee.

About 25 other states have similar plans in place, according to the U.S. Centers for Medicare and Medicaid Services. The centers are reviewing Tennessee's plan and will consider approval, likely within a few months. Georgia's plan has not officially been submitted to CMS for approval, spokeswoman Mary Kahn said.

IMPACT ON PATIENTS

In Tennessee, the 3.52 percent fee should raise about $310 million from hospitals and would result in an infusion of more than $582 million in federal matching funds. The legislation prohibits providers from passing that fee on to patients.

Source:

Tenncare Insurance - News

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